The online trading giant, Alibaba, continues its advance in the world of youth culture after grabbing an 8% stake in the streaming and animation production company Bilibili .
According to a securities deposit made on Thursday, the Alibaba Taobao market reportedly acquired around 24 million shares of Bilibili, the Shanghai-based company that captured 93 million monthly users by hosting titles, video games and content generated by the users.
This financial gesture follows the partnership announced in December to monetize Bilibili's content assets. First, Alibaba can help the creators of Bilibili to sell goods such as cosplay costumes and animated toys through Taobao's online bazaar. Bilibili itself owns an online store, but Taobao's 700 million monthly users far exceed its reach.
"This partnership is great news for creators of ACG content," TechCrunch told a Shanghai-based trader selling Lolita costumes on Taobao, referring to the acronym for "anime, comic and games ". The owner sells with both Taobao and Bilibili. sales came from Taobao.
"We can now leverage Taobao's massive platform and operational e-commerce capabilities to further help our content creators realize and improve their business values, creating a more virtuous content community and a focused ecosystem." on marketing, "says Chen Rui, Bilibili's general manager, statement.
In return, Alibaba has access to Generation Z of China. Bilibili claims that 82% of its users were born between 1990 and 2009. Alibaba connected its Ele.me food delivery unit to Bilibili in December to exploit anime watching and play to young people who depend on the delivered meals.
"More than 1.6 million content creators, including animation, comics and gaming (ACG) experts, actively supported the Taobao application and helped our platform brands engage with consumers" , said Fan Jiang, vice president of Alibaba and Taobao chairman. December. "Through close cooperation with intellectual property owners and content creators, Taobao has been able to take advantage of ACG's great potential."
The darling of investors
Baidu's Tencent and iQiyi have also spent a lot of money to beef up their respective animated offer, but Bilibili's thriving youth community gives it an edge over these heavyweights of streaming video and in fact, to some extent , the darling of investors. The company, aged eight, is one of the few companies to count both Alibaba and Tencent – which compete on multiple fronts, from e-commerce to cloud computing – as investors. Other companies that have won the support of this duo include Didi Chuxing, the largest Chinese chairlift service.
Last October, Tencent, a social media and gaming specialist, donated nearly $ 320 million to Bilibili in exchange for a 12.3% stake. While Alibaba is helping to generate revenue for the Bilibili creator community and potentially boosting their loyalty to the site, Tencent could help save money on licensing fees for games and cartoons.
"Tencent and Bilibili are two of the major players in the animation industry. By collaborating with Tencent, we will significantly expand our content offering and effectively reduce our content investment in copyright supply, "said Chen of Bilibili in the company's third-quarter earnings call.
"The agreement will allow us to leverage Tencent's core content, including licensing, co-production and anime investments, as well as to release Tencent's broad portfolio of high quality mobile gaming," added Sam Fan, CFO of Bilibili.